We engaged FI Group Singapore for tax advisory and consultancy services, and the experience has been outstanding. Their expert understanding of the R&D tax incentive enabled us to unlock significant savings. They were responsive, professional, and flexible in meeting our needs. I would highly recommend FI Group to any business looking to optimize tax incentives.
R&D Funding & Innovation Incentives in Singapore: Tax Credits and Grants
Innovation Grants & Tax Incentives in Singapore
FI Group is a global leader in innovation funding, helping businesses unlock opportunities through R&D tax incentives, grants, and strategic advisory. In Singapore, we support companies of all sizes to maximize government schemes that drive growth and competitiveness.
Why Singapore Leads in Innovation Funding
Singapore’s strategic commitment to being a global knowledge economy, means the government offers some of the most extensive financial support for innovation worldwide. This support primarily falls into two powerful categories:
- Tax Incentives that reduce your corporate tax liability through deductions and cash-refundable credits
- Grants that provide direct cash injections to support specific, strategic projects like capability development or market expansion.
These mechanisms are designed to significantly offset the costs of investment and R&D activities, making Singapore an unparalleled place for high-growth enterprises.
While the funding opportunities are vast, the system is complex, with varying criteria managed by different governmental bodies. Successfully navigating this landscape requires specialist knowledge to identify all eligible expenditures, ensure full compliance, and effectively stack multiple schemes for maximum financial returns. This is where FI Group Singapore steps in: we provide the expert bridge between your innovative efforts and the capital required to sustain them, allowing your team to focus solely on driving technology and business growth.
Why Singapore Leads in Innovation Funding
Singapore’s strategic commitment to being a global knowledge economy, means the government offers some of the most extensive financial support for innovation worldwide. This support primarily falls into two powerful categories:
- Tax Incentives that reduce your corporate tax liability through deductions and cash-refundable credits
- Grants that provide direct cash injections to support specific, strategic projects like capability development or market expansion.
These mechanisms are designed to significantly offset the costs of investment and R&D activities, making Singapore an unparalleled place for high-growth enterprises.
While the funding opportunities are vast, the system is complex, with varying criteria managed by different governmental bodies. Successfully navigating this landscape requires specialist knowledge to identify all eligible expenditures, ensure full compliance, and effectively stack multiple schemes for maximum financial returns. This is where FI Group Singapore steps in: we provide the expert bridge between your innovative efforts and the capital required to sustain them, allowing your team to focus solely on driving technology and business growth.
WHY FI GROUP
ENTERPRISE INNOVATION SCHEME More about EIS
This is the cornerstone support for companies, from established MNCs to growing SMEs, that conduct consistent, qualifying Research & Development (R&D) activities within Singapore. If your team is dedicated to technical advancement and creating new scientific knowledge or technology, this scheme rewards that investment directly.
The scheme provides enhanced tax deductions on your qualifying R&D expenses. Crucially, through the Enterprise Innovation Scheme (EIS), smaller companies that don’t yet have tax payable can elect to convert a portion of these deductions into a direct cash payout. It means you don’t have to wait for profitability to benefit from your innovation spend.
Key Features:
- Reward for Effort: Enhanced tax deductions of up to 400% on eligible local R&D expenditure.
- Cash Flow Relief: non profitable companies can claim a non-taxable cash payout (up to $20,000 annually) under the EIS option.
- Broad Scope: Covers costs like staff salaries and materials directly related to R&D projects.
REFUNDABLE INVESTMENT CREDIT
The Refundable Investment Credit (RIC) is designed for Multinational Corporations (MNCs) and large, high-growth enterprises making substantial commitments to Singapore. If you are planning to establish new high-value operations, such as regional headquarters, major manufacturing lines, or significant R&D centers, the RIC is your most powerful tool for offsetting initial setup costs.
This scheme offers a substantial refundable credit against corporate income tax, covering a percentage of eligible expenditures on approved strategic projects. Crucially, the RIC is fully aligned with the OECD’s BEPS 2.0 Pillar Two framework, qualifying as a Qualified Refundable Tax Credit (QRTC).It’s an explicit financial partnership from the EDB to anchor strategic activities in Singapore.
Key Features:
- Significant Support: Provides up to 50% support on qualifying project expenditure.
- Cash Refund Mechanism: Any unutilised credit is directly refundable in cash.
- Focus Areas: Targets high-value economic activities like R&D, manufacturing, and global trading.
RESEARCH & INNOVATION SCHEME FOR COMPANIES RIS(C)
The Research and Innovation Scheme for Companies (RISC) is aimed at enterprises planning to establish or significantly expand large-scale, long-term R&D facilities in Singapore, or those engaging in strategic public-private research collaborations. If your company’s next phase requires substantial investment in highly-skilled researcher and scientist manpower, RISC is a vital incentive.
This scheme typically provides support for qualifying manpower costs (salaries) and other operational expenses necessary to anchor complex research and innovation capabilities within Singapore. It acknowledges that building deep, long-term R&D capacity requires significant upfront investment beyond typical operating costs, providing financial assistance for projects that demonstrate a long-term strategic commitment to the nation’s innovation goals.
Key Features
- Talent and Manpower Support: Focuses on defraying the costs associated with hiring and retaining specialized researchers, scientists, and engineers crucial for large-scale R&D projects.
- Strategic Capability: Encourages companies to establish R&D infrastructure that enhances Singapore’s overall research ecosystem.
- Long-Term Focus: Designed for projects that demonstrate a sustained commitment to an R&D presence in Singapore.
Explore how you can benefit from the RISC
RESEARCH & INNOVATION SCHEME FOR COMPANIES RIS(C)
The Research and Innovation Scheme for Companies (RISC) is aimed at enterprises planning to establish or significantly expand large-scale, long-term R&D facilities in Singapore, or those engaging in strategic public-private research collaborations. If your company’s next phase requires substantial investment in highly-skilled researcher and scientist manpower, RISC is a vital incentive.
This scheme typically provides support for qualifying manpower costs (salaries) and other operational expenses necessary to anchor complex research and innovation capabilities within Singapore. It acknowledges that building deep, long-term R&D capacity requires significant upfront investment beyond typical operating costs, providing financial assistance for projects that demonstrate a long-term strategic commitment to the nation’s innovation goals.
Key Features
- Talent and Manpower Support: Focuses on defraying the costs associated with hiring and retaining specialized researchers, scientists, and engineers crucial for large-scale R&D projects.
- Strategic Capability: Encourages companies to establish R&D infrastructure that enhances Singapore’s overall research ecosystem.
- Long-Term Focus: Designed for projects that demonstrate a sustained commitment to an R&D presence in Singapore.
Explore how you can benefit from the RISC
TRUSTEDBY LEADERS
Singapore: The Strategic Innovation Hub for International Companies
Singapore’s pro-business environment and generous incentives are explicitly designed to attract high-value activities from around the globe. For Multinational Corporations (MNCs) and international groups establishing their Asia-Pacific footprint, the funding structure offers unique advantages, particularly when blending local tax measures with global financial planning.
To leverage the full strategic advantage, specialized expertise is essential. FI Group ensures your large-scale investments are correctly structured for maximum benefit and cross-border compliance (especially under BEPS 2.0 rules), turning your strategic R&D and capital expenditure into a predictable financial return.
FAQ's
This section addresses the most common strategic and procedural questions our clients ask regarding how FI Group works, our compliance standards, and our methodology for maximizing your innovation funding in the complex Singapore landscape.
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Enterprise Innovation Scheme (EIS) Cash Payout for R&D in Singapore: Complete Guide 2025
